Yeah current US P/E is way too high. But it has been inflated by...

Yeah current US P/E is way too high. But it has been inflated by FED put for how long? I think decades of endless cash will take time to work thru the psyche of the average market participant - including the big money. If that foundational belief is shaken - even now there are many that still believe the FED will be there to juice the markets and thus markets will shortly resume their uptrends - how many bulls would starting getting unsure?
A bounce on oversold conditions should happen eventually but markets could also capitulate from here. Markets get volatile at the tops and at the bottoms and so they usually zigzag back and forth with big moves like I have seen in the XJO this week and in other markets. It generally means bull and bear ratio is 50/50. Getting close to a bounce? Still waiting to see a higher high retest.